This is obviously a little late–the Warriors and Andrew Bogut finalized a 3-year, guaranteed $36M extension on Friday, I heard about these details the next day, and then the NFL kind of got in the way of me posting this, which it tends to do.

* There is not a trade-kicker in the deal and obviously Bogut does not have a no-trade clause (those are very rare in the NBA).

* As has been reported, Bogut’s guaranteed base salaries descend from year to year in order to give the Warriors’ some flexibility in the later years–to fill in the numbers, MT-2 and I believe the deal starts at about $12.9M in 2014-15, drops to about $12M in 2015-16 and finishes at about $11.1M in 2016-17.

* Bogut’s deal includes the potential to receive 15% more in incentives–which is the maximum allowable bonus package for “not likely to be achieved” clauses, as these are/will be classified (because he didn’t achieve them last season).

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That means the deal starts at $36M guaranteed and his maximum bonus pool is $5.4M, for a total possible package of $41.4M.

* As the talks came down to the last stages–and the two sides were about $500,000 per year apart, I’m told Bogut took a little less guaranteed money and as a trade off Warriors management gave him a greater potential incentive package than they were initially offering.

That’s Bogut literally betting on the upside.

During the life of this deal (from 2014-15 to 2016-17), in each season Bogut plays 65 regular-season games AND ALSO hits one of the incentive marks, he earns the full 15% bonus for that season.

But for only that season. He has to qualify for the 15% bump all over again for any future years of the deal.

Here are the marks, again, which must come along with 65 games played:

-1st, 2nd or 3rd team All-NBA;

-1st, or 2nd team All-Defense;

-All-Star;

-NBA Defensive Player of the Year.

Because Bogut did not hit any of those marks last season, every one of these incentive categories is or will likely be considered “not likely to be achieved”

All potential bonuses must adhere to salary-cap rules in the first season of any contract, so for cap purposes next season, Bogut counts as $14.835M–but that can be re-configured back down at the end of the season if he does not hit the mark.

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Then, because they’re considered “not likely” incentives, Bogut’s 2nd and 3rd-year “cap figures” can be lowered after the 2014-15 season if he doesn’t hit the incentive the first year.

Where this really matters for the Warriors: Luxury-tax calculations.

In ensuing years, if Bogut hasn’t hit any of them, the bonuses don’t count in any cap calculations unless/until they are triggered.

“Likely/not likely to be achieved” is review-able by the league every year. But if he hits the bonus one year, it would presumably be re-categorized as “likely to be achieved” for the following season and that would affect the Warriors’ overall cap figure (and then be downgraded if he doesn’t make it the following season).

* Because his contract starts at its highest salary and then descends each year, the potential 15% bonus descends every year.

-Possible bonus in 2014-15 if he hits the incentives: $1.935M.

-Possible bonus in 2015-16 if he hits the incentives: $1.8M.

-Possible bonus in 2016-17 if he hits the incentives: $1.665M.

So if, for instance, Bogut doesn’t hit the bonus in the first year of this extension, his possible bonus pool is reduced to $3.465M. And so on…

* Before the Bogut extension kicks in next season, the Warriors are at about $67.6M for the 2013-14 season… (counting Bogut’s $14M salary from his old deal this season)…

That’s over the $58.7M salary-cap number but about $4M under the luxury-tax line of $71.7M.

* Let’s’ take a quick look at the Warriors’ major future salary commitments.

-Short-hand: This year, Bogut ($14M), David Lee ($13.9M), Iguodala ($12.9M), Curry ($9.9M) are guaranteed a combined total of $50.7M.

Next year, those four players account for $50.9M in guaranteed money.

The following year, the four-player total is $50.6M.

See how the descending salaries of Iguodala and Bogut help balance out the raises built into Lee and Curry’s deals?

Then in the summer of 2017 (when the Warriors say they’re going to move into their new San Francisco arena), Lee theoretically drops off the books (if Lacob doesn’t give him an extension) and Bogut, Curry, Iguodala combine for $34.2M.

In the 2017 off-season, the Warriors would also probably have Thompson’s new deal having kicked in the year before and Barnes’ new extension set to be signed that summer.

–Guaranteed salary commitments for the next four seasons, AFTER this one (through 2016-17)/

……. ’14-15/ ’15-16/ ’16-17/

Lee $15M $15.5M… —

Bogut $12.9M $12M $11.1M

Iguodala $12.3M $11.7M $11.1M

Curry $10.6M $11.4M $12.1M

Speights $3.7M —

Thompson $3M —

(* Klay Thompson is eligible–and likely–to receive an extension next summer, and if he does, the first year of that extension would be paid out in 2015-16.)

Barnes $3M $3.8M —

(* Harrison Barnes’ 2015-16 salary is a team option that is very likely to be exercised next summer. He will be due to receive an extension in two summers, and if he does, the first year of that extension would be paid out in 2016-17, AFTER Lee’s deal comes off the books…. but while Iguodala, Curry and Bogut are on the last year’s of their current deals.)

Ezeli $1.1M (Festus Ezeli’s 2015-16 salary is a team option; he would be due to receive an extension in two summers and if he does, the first year of that extension would be paid in 2016-17.)

Nedovic $1.1M $1.2M

(* Nedovic’s 2015-16 and 2016-17 are team options; he would be due to receive an extension three summers and if he does, the first year of that extension would be paid out in 2017-18.)

Draymond Green $250K (Green is only partially guaranteed for next season.)

The NBA is definitely an interesting sport, when we only see a team’s outlook for the upcoming 4-5 years max, since there aren’t 7-8 year deals that show up every year, like we see in the NFL (though its non-guaranteed), and MLB (where every dollar is guaranteed).

mhyke

It is nice that we have a talented team and don’t have to worry about them staying together.